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SCENARIO 6-3 Suppose the Time Interval Between Two Consecutive Defective Light Bulbs

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SCENARIO 6-3
Suppose the time interval between two consecutive defective light bulbs from a production line has a uniform distribution over an interval from 0 to 90 minutes.
-Referring to Scenario 6-3,what is the variance of the time interval?


Definitions:

Aggregate Demand

Aggregate demand represents the total demand for goods and services within an economy at a given overall price level and in a given time period.

Aggregate Demand Curve

A curve that shows the relationship between the overall price level in the economy and the total demand for goods and services.

Price Level

The aggregate average price of goods and services in the economy at present.

Rate of Interest

The interest segment of a loan charged to the borrower, frequently expressed in terms of an annual percentage of the current loan balance.

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